Hyderabad: Real estate developers in the city will look to focus on the eastern and northern side of the city. This will aid in spreading the development to all parts of the city and also aid in the Government’s efforts to decongest the city, said CH Ramchandra Reddy, the newly elected Credai Telagana President.
“Areas near Pocharam, Adibhatla and towards Medchal till a few years did not find many buyers. But now they are seeing a huge demand. The cityscape changes in about five years,” he said.
On the pain points the sectors is facing, he said the Centre should bring down the GST on the housing sector and commercial projects, which is currently 5 per cent and 12 per cent respectively. Only the affordable housing segment attracts one per cent GST, he said.
The developers are financially in no position to absorb the GST levies and as a result pass on them to the customers, making the real estate purchases costlier, said G Ram Reddy, Chairman, Credai Telangana.
“We had an interesting real estate journey in the State since its formation in 2014. The real estate sector was lagging behind the rest of the country. However, due to policies and initiatives by the State Government, the real estate sector in Hyderabad and rest of the State is showing positive growth and leading the country both in terms of absorption of office spaces and sales of the properties,” he said.
“The real estate sector is struggling in most parts of the country. However, Hyderabad and its suburbs are showing a significant increase in demand. Hyderabad is also showing a tremendous increase in the absorption of office space primarily driven by the growth in the BFSI, IT & ITeS sectors. Hyderabad has exhausted the existing inventory for office spac and even the under-construction commercial projects have already been absorbed. This indicates a lot of job opportunities are being created. The demand for residential units will also increase exponentiall,” said Ramchandra Reddy.
D Murali Krishna Reddy, President-Elect, Credai Telangana said, “Real estate is the second largest employment generator in the country next only to agriculture. We request the Governments to recognise real estate as an industry and provide benefits accordingly. We also seek an exclusive TSiPass-kind single window clearance mechanism for real estate sector in Telangana that will facilitate more job creation and economic growth to the nation.”
E Premsagar Reddy, Secretary, Credai Telangana said, “We have seen positive impact of real estate growth in Warangal and other Tier 2, Tier 3 cities. We request the Government to approve the draft masterplan for Warangal to avoid unauthorised and irregular development and loss of revenue to the Government as Warangal is the second largest city in the State after Hyderabad and needs to be the focus for development.”
The other office bearers of Credai Telangana K Indrasena Reddy, G Ajay Kumar, C Jagan Mohan, V Madhusudhan Reddy (vice-presidents) and Gopal Pancharia, Pallerla Raju, Y Saideswar Rao (joint secretaries) and B Panduranga Reddy (treasurer).